According to the survey, only in the third quarter, 32 new projects with 7,184 rooms were added, further reinforcing the upward trend from the previous year. The number of projects already under construction reached 332, with 86,958 rooms, marking a 12% increase in projects and 9% in rooms.
Units expected to start within the next 12 months total 161 projects with 48,251 rooms, showing impressive growth of 15% and 33%, respectively. In the initial planning stage are 166 projects with 28,607 rooms.
By hotel category,
- The luxury segment leads with 199 projects and 44,059 rooms, up 10% and 6%.
- The upscale category follows with 166 projects and 47,974 rooms, increasing 7% in projects and 13% in rooms.
- Together, these two categories represent 55% of the total pipeline.
Significant acceleration is also recorded in renovation and conversion projects, totaling 79 projects with 20,258 rooms, up 46% and 67% year-on-year, respectively. Saudi Arabia continues to dominate the market, with 349 projects and 94,287 rooms, up 10% and 18%. Followed by Egypt with 131 projects and 28,657 rooms, and the UAE with 103 projects and 26,061 rooms. These three markets account for 88% of the region’s total pipeline.
City-level highlights:
- Riyadh leads with 90 projects and 18,403 rooms.
- Jeddah follows with a new record of 59 projects and 13,341 rooms.
- Dubai remains a strong player with 56 projects and 13,902 rooms, marking a 22% increase in projects.
Other top cities include Cairo (50 projects, 10,955 rooms) and Mecca (28 projects, 18,173 rooms).
In Q3 2025, 20 new hotels with 4,822 rooms opened. For Q4, an additional 45 units with 9,531 rooms are expected to launch. In total, 2025 is projected to close with 65 new hotels and 14,353 rooms.
For 2026, LE forecasts 96 new units with 20,169 rooms, while for 2027, 91 new hotels with 22,792 rooms are expected.
